CLA-2-24:S:N:N7:231 808114

Ms. Kathy Cataldi
U.S. Brokers (LAX)
c/o India Imports and Exports
3838 West 102nd Street
Inglewood, CA 90303

RE: The tariff classification of cigarettes from India.

Dear Ms. Cataldi:

In your letter, dated March 10, 1995, you requested a tariff classification ruling. The merchandise is comprised of containers of cigarettes that are called, "Mangalore Genesh Beedies 501." The cigarettes are hand made. The U.S. Customs Laboratory has determined that the wrapper is not composed of tobacco. The tobacco filler does not contain added flavoring. The cigarettes measure 6 centimeters (2 1/2 inches) in length. Each cigarette contains 2.4 milligrams of tobacco wrapped in vegetable leaf, and it is tied with a thread.

The Internal Revenue Service, by Revenue Ruling 69-483, published September 15, 1969, has ruled that beedies are cigarettes within the meaning of section 5701 (B) of the Internal Revenue Code and therefore are subject to cigarette tax.

The applicable subheading for the cigarettes, which are called, "Mangalore Genesh Beedies 501," will be 2402.20.9000, Harmonized Tariff Schedule of the United States (HTS), which provides for cigars, cheroots, cigarillos and cigarettes, of tobacco or of tobacco substitutes, cigarettes containing tobacco, other, other. The rate of duty will be $2.20 per kilogram, plus 4.7 percent ad valorem.

Articles classifiable under subheading 2402.20.9000, HTS, which are products of India, are entitled to duty free treatment under the Generalized System of Preferences (GSP) upon compliance with all applicable regulations.

In addition, imports under this provision are subject to a Federal Excise Tax as follows:

Class "A:" $12.00 per 1,000 on cigarettes, weighing not more than 3 pounds per 1,000;

Class "B:" $25.20 per 1,000 cigarettes, weighing more than 3 pounds per 1,000; except that, if more than 6 1/2 inches in length they shall be taxable at the rate prescribed for cigarettes weighing not more than 3 pounds per 1,000, counting each 2 3/4 inches, or fraction thereof, of the length of each as one cigarette.

You are also advised that each package should have adequately printed thereon, or on a label securely fixed thereto, the designation "Cigarettes," the number of cigarettes contained therein, and the words "Class A" or "Class B." Each package is also required to be marked to show the country of origin.

Effective December 18, 1985, P.L. 98-474, The Comprehensive Smoking Education Act, requires the display of four specific health warning labels on cigarette packages and cigarette advertising. The labels would be rotated on a quarterly basis in alternating sequence pursuant to a plan prepared by the importer and approved by the Federal Trade Commission. The four warning statements required on cigarette packages are listed below:

SURGEON GENERAL'S WARNING: Smoking Causes Lung Cancer, Heart Disease, Emphysema, And May Complicate Pregnancy.

SURGEON GENERAL'S WARNING: Quitting Smoking Now Greatly Reduces Serious Risks To Your Health.

SURGEON GENERAL'S WARNING: Smoking By Pregnant Women May Result In Fetal Injury, Premature Birth, And Low Birth Weight.

SURGEON GENERAL'S WARNING: Cigarette Smoke Contains Carbon Monoxide.

Any questions with regard to P.L. 98-474 should be addressed to the Federal Trade Commission, Washington, DC 20580.

This ruling is being issued under the provisions of Section 177 of the Customs Regulations (19 C.F.R. 177).

A copy of this ruling letter should be attached to the entry documents filed at the time this merchandise is imported. If the documents have been filed without a copy, this ruling should be brought to the attention of the Customs officer handling the transaction.

Sincerely,

Jean F. Maguire
Area Director
New York Seaport